Question

A car rental agency rents 200 cars per day at a rate of $30 per day. for each $1 increase in rate, 5 fewer cars are rented. at what rate should the cars be rented to produce the maximum income? what is the maximum income?

Answer 1

The rate should be $35. The agency would be able to rent 175 cars. The maximum income= 35 * 175 = $6125